Top 10 Home Loan Tips

 


A home brings in a new lifestyle and new beginnings. For every Indian, home is an emotion that they can never do without. It is not only a feeling, but a sense of security and brings in social status. However, it is never easy to get home due to the large investment it needs. A home is not a quick buy as it takes a major portion of your income. Today, individuals are looking for their own homes because of the availability of a home loan. A home loan has turned dreams into reality. 

However, home loan is a huge burden, as it is a costly and long-term commitment. It takes up a good share of your monthly income, and hence, it needs a lot of planning. So, before you dig in and fill up the application, you should go through these tips that can help –

 

  1. Start saving money for the down payment. A home loan may sponsor 80-90% of your property amount, but you need to arrange the down payment. The down payment will not be a small amount, so if you have a dream of a home, you should start saving.
  2. Check your credit score, as for a home loan the requirement of a credit score is always high. It is because the amount of loan is high and there is a risk. Keep your credit score high if you need approval. Read More : Check out Benefits of Home Loan Balance Transfers
  1. All your documents should be in place. Documents like your personal identification proof, income proof, bank account statement, and property papers. You need to have all the original copies of your documents.
  2. Use a home loan calculator to understand the EMI and rate of interest. It will help you to deal with the big and complicated calculations. A calculator will be a handy one to understand things before you make a sudden decision.
  3. Choose your loan provider after a lot of comparisons. Do not settle for the first approval that you get in a home loan. There are various options in the market. You need to look for at least some of the best options, and then settle for the best deal with the low rates.
  4. Track the market interest rates. If you gain enough knowledge about the prevailing market rates, you can easily fetch the best rate without being at loss. Always settle for a low rate so that the EMI is low.
  5. Find out all the charges and fees that you are supposed to pay. Do not go for any hidden charges before you compare and confirm with other financial institutions.
  6. Go for pre-qualified loan options. If you have a good credit score and background, you will get a pre-qualified loan. Such a loan will help you with less hard work and comes with easy approval and the best rates.
  7. Choose the home loan tenure right so that your EMI is as per your ability to pay. If you don’t have a very high income, go for a long-term loan with low EMI.
  8. Take care of the loan agreement. In excitement, do not miss out on the most important part. The loan agreement is the blueprint and it has all the necessary details.

 Wrapping up

A home loan is a big commitment. It goes on for years and the loan amount is very high. You need to plan your finances accordingly so that you can finish off your debt in time. Use a home loan calculator to take a better decision.

 

Location: Level 12, Two Horizon Center, Golf Course Road, Harizan Colony, DLF Phase 5, Sector 43, Gurugram, Haryana 122002, India

Comments

Post a Comment

Popular posts from this blog

The Benefits Of Joint Home Loans

Image
Partners that borrow together, stay together. It is the time to borrow along with your partner, so that you can work on your credit history well, as well as bag some good perks and benefits of having a Joint Home loan. This is how a family works. If you feel you are not eligible or stable enough to have a home loan alone, you can apply for a joint home loan. A joint home loan is getting a lot of prominences all over the country with a lot of people opting for it. If you need a home loan, home renovation loan , or house repair loan with your partner, you need to know what it is and why it can be a good option for you. What is a joint home loan? A joint home loan is when there are two borrowers for one particular loan. A home loan is a high-value loan so to avoid risk, there can be two borrowers for one particular loan. A joint home loan is one where you can take your partner along for borrowing. This is an ideal option if you are not having good credit eligibility or high income ,...
Read more

DIFFERENCE BETWEEN HOME LOAN AND HOME TOP-UP LOAN

Image
‘Home loans’ and ‘home top-up loans’ are very popular terms. Well, the purpose and meaning of both are very different. If you are a homeowner you probably know it well. For people new to borrowing, you need to have a good idea about the difference between a home loan and a home top-up loan. Once you are aware of the differences, it becomes easy to choose and process them. Therefore, let us discuss the differences between both and understand what they actually mean. It helps with an informed decision especially for the ones taking a fast home loan in the future. What is a home loan? A home loan is a rigid purpose loan that is taken to purchase a home and nothing else. It is a secured form of loan that can be recovered from the property itself if the homeowner defaults. The rate of interest and charges are low if one meets the eligibility and gets proper research done in order to find the right loan provider. Home loan eligibility and documentation is a strict one due to the amount...
Read more